| Anyone in business in the UK who is not incorporated | | | | the format is similar and presented in a simpler way to |
| into a limited company must complete a tax return of | | | | facilitate better understanding and accurate completion. |
| their financial affairs each year. For a number of years | | | | Self employed businesses are not required to keep |
| the specific tax return to be completed by everyone | | | | formal accounts of the years financial transactions but |
| self employed was the self assessment tax return. | | | | must keep sufficient financial records to justify and |
| The new self employed tax returns were introduced | | | | support the financial entries made on the tax returns. |
| quite late in the reporting process being published at | | | | While formal financial accounts may not be essential |
| around the end of the financial year, to which they | | | | requirements an organised system of record keeping |
| relate, 2006 07. This should not be a problem to those | | | | using bookkeeping or accounting software is highly |
| familiar with the previous small business tax return as | | | | desirable to maintain financial control. |